Viavi Q1 revenue beats expectations on strong demand from data center

Viavi Solutions

29/10/2025 20:22

Overview

Viavi fiscal Q1 revenue grows 25.6% yr/yr, beating analyst expectations, per LSEG data

Non-GAAP net income rises 166.9% yr/yr, driven by strong demand in key sectors

Company expects continued momentum and benefits from Spirent acquisition

Outlook

Viavi expects Q2 fiscal 2026 revenue between $360 mln and $370 mln

Company anticipates Q2 fiscal 2026 non-GAAP EPS between $0.18 and $0.20

Viavi sees continued strong demand in data center and aerospace & defense

Result Drivers

DATA CENTER DEMAND - Strong demand from the data center ecosystem significantly contributed to revenue growth, per CEO Oleg Khaykin

SPIRENT ACQUISITION - Acquisition of Spirent product lines expected to strengthen position in data center market, per CEO Oleg Khaykin

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$299.10 mln
$294.35 mln (7 Analysts)
Q1 EPS
-$0.10
Q1 Gross Margin
56.50%
Q1 Adjusted Operating Margin
15.70%
Q1 Operating Margin
2.50%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the communications & networking peer group is "buy"

Wall Street's median 12-month price target for Viavi Solutions Inc is $15.00, about 6.7% above its October 28 closing price of $14.00

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nPn2XDtmLa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)